The Inquisitr News » Businesshttp://www.inquisitr.com
Tue, 31 Mar 2015 20:51:55 +0000en-UShourly1‘Shark Tank’ Star Daymond John Gives Entrepreneurs Social Media Tipshttp://www.inquisitr.com/1965836/shark-tank-star-daymond-john-gives-entrepreneurs-social-media-tips/
http://www.inquisitr.com/1965836/shark-tank-star-daymond-john-gives-entrepreneurs-social-media-tips/#commentsSun, 29 Mar 2015 22:09:30 +0000http://www.inquisitr.com/?p=1965836Followers of Daymond John know the Shark Tank star is very active on social media. On occasion, he opens his Facebook page to entrepreneurs to promote their businesses and has been known to tweet out a picture of an alarm clock at a very early hour. Entrepreneur compiled some words of advice from John about

Followers of Daymond John know the Shark Tank star is very active on social media. On occasion, he opens his Facebook page to entrepreneurs to promote their businesses and has been known to tweet out a picture of an alarm clock at a very early hour. Entrepreneurcompiled some words of advice from John about the power of social media and how best to use it to increase the bottom line.

John says simplicity trumps complexity. Much like a Shark Tank pitch where the benefit of a product should be easy to grasp, a business’ social media message should be to the point without detailed explanation. After all, Twitter is restricted to 140 characters, Facebook is glutted with information, and Instagram is reliant on the power of the image.

Despite the need for simplicity, companies need a brand identity and a story that sets them apart. Entrepreneur provides the example of a Daymond John investment, MVMT watches, that has a simple pitch to consumers: you need a good-looking watch, but you don’t have a lot of money to spend. The company did $2 million in sales in its first year.

The last key to social media success is audience engagement. Asking followers for their opinions not only increases their loyalty to the brand, it is a valuable marketing tool to find out what people like and will buy. John himself did this in a subtle way over the weekend before a red carpet appearance, putting in a plug for the designer Tom Ford over Twitter.

While John is providing advice to entrepreneurs in his non-Shark Tank life, the show continues to draw in big ratings for ABC. The network recently announced a spin-off series called Beyond the Tank, which will provide in-depth updates on Shark Tank pitchers. Back in January, Entertainment WeeklyreportedBeyond the Tank would be a short run series of 10 one-hour episodes. Like Shark Tank, Beyond the Tank is executive produced by Mark Burnett.

Zap2It quoted ABC president Paul Lee back in January about the appeal of the spin-off’s concept.

“It’s going to be stories of people who have been on ‘Shark Tank’ — some of them are emotional, some of them are uplifting, some of them are tragic. It’s going to be great, we’re certainly excited about it. We’re very thoughtful about how we build franchises step by step and we thought it was time now to build another hour of that franchise.”

]]>http://www.inquisitr.com/1965836/shark-tank-star-daymond-john-gives-entrepreneurs-social-media-tips/feed/0Future Shop Abruptly Shuts Down, Leaves Customers, Workers Out In The Coldhttp://www.inquisitr.com/1965273/future-shop-shuts-down/
http://www.inquisitr.com/1965273/future-shop-shuts-down/#commentsSun, 29 Mar 2015 19:00:28 +0000http://www.inquisitr.com/?p=1965273Canadian electronics retail icon, Future Shop, has abruptly shut its doors across the country. As per a story in The Ottawa Citizen, shoppers across Canada arrived at Future Shop on Saturday morning, only to find the retailer closed and locked. Some were there to shop, others to have their equipment serviced; Future Shop was known

Canadian electronics retail icon, Future Shop, has abruptly shut its doors across the country.

As per a story in The Ottawa Citizen, shoppers across Canada arrived at Future Shop on Saturday morning, only to find the retailer closed and locked. Some were there to shop, others to have their equipment serviced; Future Shop was known for their extended-warranty programs and many people who rely on outside tech support for their livelihood found themselves literally left out in the cold.

Even Future Shop’s employees were dumbfounded, according to CTV News, as they arrived at work expecting to attend a quarterly staff meeting and discovered they were arriving to lose their jobs.

“We had no idea. It was just, ‘Here’s your pay. Bye.'”

“It was just devastating. It’s really frustrating because there was no warning at all.”

The company said that 500 full-time and 1,000 part-time jobs will be lost as a result of its consolidation. The company has stated that employees will receive severance, employee assistance, and outplacement support. In most provinces, some or all of this is required by law for any sudden termination without cause.

“Any decisions that impact our people are never taken lightly; our first priority is to support them through this change. I want to express my appreciation to the employees who are leaving, for their contributions to Best Buy Canada.”

David M. Gray, a social sciences professor at the University of Ottawa who specializes in economics and labour market policy, described the sudden layoffs as “strange” and suggested that the abrupt Future Shop closure may be an attempt to avoid the worker relations fiasco currently facing Target as it pulls out of Canada.

Future Shop was established in 1982, and had become the country’s largest electronics retailer by 1990. In 2001, it was purchased by Missouri-based electronics giant Best Buy for $580 million. Best Buy did begin to establish its own stores in Canada following the acquisition, but continued to operate many Future Shop locations, as customers already had 20 years of established brand loyalty, even in locations where the two stores directly competed.

Best Buy said that it is looking to address its “real estate footprint,” as in many cases the Future Shop and Best Buy stores were, if not directly across from each other, at least nearby as most urban shopping is now consolidated in big-box shopping districts. A move toward this was made in 2013, with eight Future Shop locations shutting down, as previously reported in the Inquisitr.

]]>http://www.inquisitr.com/1965273/future-shop-shuts-down/feed/0American Apparel Controversial Casting Call: Asks For ‘Real Models,’ Not ‘Instagram Hoes’http://www.inquisitr.com/1964026/american-apparel-controversial-casting-call-asks-for-real-models-not-instagram-hoes/
http://www.inquisitr.com/1964026/american-apparel-controversial-casting-call-asks-for-real-models-not-instagram-hoes/#commentsSun, 29 Mar 2015 02:39:24 +0000http://www.inquisitr.com/?p=1964026Controversial clothing manufacturer American Apparel is often known for their sexually charged advertisements and constant use of underage, amateur models. Now, the company is holding a casting call asking for “real models,” not “Instagram hoes” or “THOTs.” That’s what an email stated from casting agent Phira Luon that was obtained by the New York Post.

Controversial clothing manufacturer American Apparel is often known for their sexually charged advertisements and constant use of underage, amateur models. Now, the company is holding a casting call asking for “real models,” not “Instagram hoes” or “THOTs.”

“[The] company is going through a rebranding image so will be shooting models moving forward,” Luon wrote in a March 18 email blast. “Real models. Not Instagram hoes or THOTs.”

The American Apparel casting call also features a young woman with her head next to man’s leg. The models appear to be naked and laying in bed together. This email and its use of “hoes” and “thots,” which is slang for “that ho over there,” has caused an uproar with models and feminists on social media. It also forced Luon to apologize, according to Design & Trend.

The casting call agent said that the email was “an inappropriate off color joke that was not intended to defame the clients’ name or philosophy/views in any way.”

“It’s just completely false that American Apparel is only using professional models, and we have had and continue to have public casting calls on our calendar.

We continue to look for diverse models of all sizes and backgrounds that look great in our clothes, and these open casting calls play a key role. Suggestions to the contrary are the result of an email written by a non-American Apparel employee that does not reflect our company’s beliefs in any way, and they have since apologized for writing it.”

This comes at just the right time, when American Apparel is trying to clean up its hyper-sexualized image. Cosmopolitan U.K. also noted that the company has had a ruling made against them for including underage models in their sexualized ad campaigns. The brand also announced earlier this week that they will airbrush nipples and pubic hair from the images on their website.

However, it seems like American Apparel doesn’t want to accept any responsibility for coming up with the words “Instagram hoes” and “thots” in their casting call, according to MSNBC.

PhotoGenics, a modeling and fashion agency in L.A., were the ones who allegedly sent the email, not American Apparel itself. Cynthia Erland, senior vice president of marketing, said that the email was surprising to see.

“We were not aware of the email PhotoGenics planned to send, and want to reiterate that its content does not reflect our core values, nor did I communicate that we are rebranding the company. We plan to maintain the DNA of the brand.

American Apparel did not hire PhotoGenics, and only called him as any apparel company calls an agency for a casting call. He was not hired or under any contract with American Apparel.”

American Apparel has stuck to their promise of using “real models” in their ad campaigns and on their website. They are still currently accepting amateur model submissions through their website, according to Sugarscape. The American Apparel submission page reads as follows.

“We find our models all over the world, through online submissions, word of mouth, and in retail stores, where we’ve been known to do an impromptu test shoot or two. Our ads have always been indicative of a time and place in American Apparel’s identity, which has evolved into a 12,000 employee worldwide collaboration.”

American Apparel’s plans for breaking away from its sexed up image isn’t work yet. The brand still has a lot to learn about respecting women as it changes its image.

]]>http://www.inquisitr.com/1964026/american-apparel-controversial-casting-call-asks-for-real-models-not-instagram-hoes/feed/1Chick-Fil-A Opens Slew of New Stores Nationwidehttp://www.inquisitr.com/1961325/chick-fil-a-opens-slew-of-new-stores-nationwide/
http://www.inquisitr.com/1961325/chick-fil-a-opens-slew-of-new-stores-nationwide/#commentsFri, 27 Mar 2015 20:29:03 +0000http://www.inquisitr.com/?p=1961325Despite the occasional negative press, Chick-Fil-A’s franchises are thriving throughout the United States. Shortly after the arrival of spring, new Chick-Fil-A restaurants are cropping up in states like Florida and Pennsylvania, signaling that the chain responsible for “Eat More Chicken” ads continues to outperform competitors, such as KFC and Church’s. As reported by the Palm

Despite the occasional negative press, Chick-Fil-A’s franchises are thriving throughout the United States. Shortly after the arrival of spring, new Chick-Fil-A restaurants are cropping up in states like Florida and Pennsylvania, signaling that the chain responsible for “Eat More Chicken” ads continues to outperform competitors, such as KFC and Church’s.

As reported by the Palm Beach Post, Chick-Fil-A’s newest restaurant held a grand opening in Delray Beach, Florida on March 26 to hundreds of people anxiously awaiting its debut. For more than 24 hours, customers camped outside the new restaurant hoping to be one of the first 100 people to enter the building. Not so much motivated by a love for chicken as by the promise of free Chick-Fil-A for a year, campers began gathering days before to secure their spot.

A tradition rooted in a love for community, giving away free food at grand openings is part of why Chick-Fil-A stands out from other fast food brands. Instead of devising ways to earn money, the company’s management is committed to serving others and it shows in their work. In 2013, the chain earned nearly $5 billion in U.S. sales.

Based in Atlanta, Georgia, Chick-Fil-A has an established corporate culture that combines quality and passion. Thus far, the company’s chicken has earned numerous awards, including the top spot for Best Chicken Sandwich in a 2014 Consumer Report review. According toForbes, the passing of company founder S. Truett Cathy last year is unlikely to impact the restaurant’s outlook.

In addition to the new Delray Beach location, Chick-Fil-A is opening new restaurants throughout March and April in the Northeast and Midwest regions of the country. According toInquisitr‘s review of the company, Chick-Fil-A continues to earn new business by competitively developing and marketing new products. Frosted Lemonade, one of the newest additions to the chain’s menu, arrived just in time for summer and features a refreshing blend of ice cream and lemonade.

While delighting customers with delicious food is always a priority for Chick Fil A, the chicken chain promotes healthy lifestyle habits and encourages disease prevention. To participate in the American Diabetes Association’s National Alert Day, Chick Fil A motivated customers to take an online diabetes risk assessment in exchange for a free grilled chicken sandwich or order of nuggets, theTimes of San Diego reported.

]]>http://www.inquisitr.com/1961325/chick-fil-a-opens-slew-of-new-stores-nationwide/feed/3Apple CEO Tim Cook To Donate His $785 Million Fortune To Charityhttp://www.inquisitr.com/1960120/apple-ceo-tim-cook-to-donate-his-785-million-fortune-to-charity/
http://www.inquisitr.com/1960120/apple-ceo-tim-cook-to-donate-his-785-million-fortune-to-charity/#commentsFri, 27 Mar 2015 15:53:49 +0000http://www.inquisitr.com/?p=1960120Apple CEO Tim Cook will donate $785 million dollars to charity while he is still living. The successful businessman will reportedly first handle his nephew’s college expenses and then give the remainder of the millions to various charities. Tim Cook is following in the philanthropic footsteps of billionaires like Bill Gates and Warren Buffet, who

Apple CEO Tim Cook will donate $785 million dollars to charity while he is still living. The successful businessman will reportedly first handle his nephew’s college expenses and then give the remainder of the millions to various charities.

Tim Cook is following in the philanthropic footsteps of billionaires like Bill Gates and Warren Buffet, who in recent years have persuaded other billionaires to give away half of their fortune. Other billionaires who have given millions to charity are Facebook founder Mark Zuckerberg and Michael Bloomberg of Bloomberg L.P. Altogether, Gates and Buffet persuaded 40 billionaires to donate half of their wealth to charity.

CEO Tim Cook is the successor of the late Steve Jobs, a man whom many people view as a legend in business. Cook recently made a statement to the difficulty he experienced when trying to fill such large shoes.

“I have thick skin, but it got thicker. What I learned after Steve passed away, what I had known only at a theoretical level, an academic level maybe, was that he was an incredible heat shield for us, his executive team. None of us probably appreciated that enough because it’s not something we were fixated on. We were fixated on our products and running the business. But he really took any kind of spears that were thrown. He took the praise as well. But to be honest, the intensity was more than I would ever have expected.”

The “intensity” was unable to stop Tim Cook from being a more than adequate successor. Since Cook took over in 2011, Apple’s product sales have greatly risen. In fact, the most recent profit report from Apple showed a profit of $18 billion, the most profitable quarter in history, according to CNN Money. As a result, Tim Cook’s salary doubled last year to a whopping $9.2 million. His work also resulted in a $145 million worth of vested stock with $536 million more stock awards pending.

Profit is not the only way Tim Cook has made history in business. He is currently the only publically gayCEO in the largest 700 corporations. When recently asked by Fortune about his devotion to philanthropy and his decision to give so much money to charity, Cook expressed that it was more of a duty than a decision.

“To be honest, if I would not have come to the conclusion that it would likely help other people, I would have never done it. There’s no joy in me putting my life in view. ‘To whom much is given, much is required.’ I’ve certainly been given a lot.”

Tim Cook has stated that he is also working on a “systematic approach” to charity that involves hands-on action instead of just giving money.

]]>http://www.inquisitr.com/1960120/apple-ceo-tim-cook-to-donate-his-785-million-fortune-to-charity/feed/0Multi-Millionaire And Apple Executive Tim Cook Is Giving Away His Fortunehttp://www.inquisitr.com/1959855/multi-millionaire-and-apple-executive-tim-cook-is-giving-away-his-fortune/
http://www.inquisitr.com/1959855/multi-millionaire-and-apple-executive-tim-cook-is-giving-away-his-fortune/#commentsFri, 27 Mar 2015 14:41:32 +0000http://www.inquisitr.com/?p=1959855Apple Chief Executive Tim Cook is close to becoming a billionaire, with Fortune estimating the CEO’s net worth to be around $785 million. Cook has already decided what he is going to do with the massive fortune he has accumulated over the years working at Apple. Like several other multi-millionaires, Cook has decided to give

Apple Chief Executive Tim Cook is close to becoming a billionaire, with Fortune estimating the CEO’s net worth to be around $785 million. Cook has already decided what he is going to do with the massive fortune he has accumulated over the years working at Apple. Like several other multi-millionaires, Cook has decided to give his fortune away to charity. He is also going to pay for his 10-year-old nephew’s college education.

In 2010, Warren Buffet and Bill Gates started The Giving Pledge, which is a program that encourages billionaires to give away at least half of their fortune to some form of charity. Since the initiative began, more than a hundred of the country’s wealthiest have signed up to join the cause. CNN Money reports that some of the people already committed include Facebook giant Mark Zuckerburg and former mayor of New York City Michael Bloomberg.

Cook’s net worth is a direct result of his stock holdings in Apple. He currently is in possession of $120 million in regular Apple stock, and then holds restricted stock worth $665 million if it were to be fully vested.

The 54-year-old CEO has always been a fiercely private person, but he was thrust into a media frenzy recently when he publicly announced that he was gay. Cook spoke out last year about lesbian, gay, bi-sexual, and transgender discrimination last year when he was inducted into the Alabama Academy of Honor.

Along with becoming more open about his personal life, Cook is turning Apple into a more open kind of company. This is in complete contrast to what his predecessor Steve Jobs did. Jobs made every effort to keep Apple employees and the media from communicating, but Cook says exposure will be a key part of Apple’s future.

“My objective is to raise the public profile of several of the folks on the executive team, and others as well. Because I think that’s good for Apple at the end of the day.”

For now, Cook appears to be focused on the future of the technology giant, recently introducing products such as the iPhone 6, iPhone 6 Plus, Apple Pay, and the Apple Watch. The iPhones seem to be the single product that put Apple back on an upswing in the competitive market. Apple sold an astounding number of its popular phones in the last quarter of 2014, reporting 74.5 million units sold and generating $18 billion in profits as a result.

Ellen Pao lit up Silicon Valley and the news media when she accused her prominent venture capital firm Kleiner Perkins Caufield & Byers of gender bias for promoting male colleagues ahead of her. The lawsuit hits on something many people believe and statistics support: venture capital is a boy’s club. Now all the arguments have closed, and the jury is in deliberation.

Nevertheless, some women are quietly dreading that after the Ellen Pao lawsuit, venture capital firms might take even fewer chances hiring women in the future.

According to Fortune Magazine, it’s being called “one of the nastiest things” being whispered about the Ellen Pao case. Will venture capital firms want to risk hiring a woman for a high-level position in the future?

Pao’s lawyers allege that their client lost $16 million in future salaries and bonuses. Add on some punitive damages — which increases the amount nine-fold — and Kleiner Perkins Caufield & Byers (KPCB) stands to lose $144 million, according to Tech Crunch.

That’s not an existential threat for the lucrative tech investment firm, but it’s certainly enough to sting. What might be even worse is the damage to the firm’s reputation and what was likely an exhausting effort to fight the Pao lawsuit.

Put it all together, and women suddenly become a substantial risk in the subconscious mind of a male at a VC firm.

Two writers for the tech blog Re/code, Nellie Bowles and Liz Gannes, report they already hear the whispers and stories. One woman went to Twitter to say she’s heard straight from the source.

Sad, but true. One VC tells me if @kpcb loses its gender discrimination case, he’d be less likely to hire a female partner #changetheratio

It’s important to remember that venture capital is already dominated by men, and Ellen Pao’s firm KPCB was arguably one of the good guys on gender diversity. Fortune reports that only 4 percent of senior-level venture capitalists are women. Likewise, 77 to 79 percent of VC firms never had a woman represent them on the board of one of their companies — KPCB actually has 10 women in such a position.

As the Washington Post explained, experts in the field tend to think the best start for people going into VC is to be a “successful entrepreneur” who navigated the world of seeking out investors. Unfortunately for women, it’s difficult to get venture funding because they often don’t look the part. That means discrimination is subtle and starts at an early stage, well before the job interview.

Naturally, the whispers and rumors are damaging to the justice system. The idea that women as a whole will be damaged by a lawsuit undermines the entire purpose of discrimination laws, despite the harsh realities. How can women fight for an equal footing with men, if defending themselves leaves them with no footing at all?

Professor of Civil Engineering Elahe Enssani believes that lawsuits are simply not the way to affect change, according to Re/code.

“I’m really worried that this case will make people subconsciously not hire women because they’re worried if they don’t perform, they will say it’s because they are women.”

She watched the Ellen Pao trial in person a number of times, before eventually siding with KPCB.

Of course, the opposite problem also exists. Women might not want to even go into venture capital or tech after hearing what Ellen Pao went through, even with a male mentor, John Doerr.

Ellen Pao can’t be blamed for attracting so much attention to the issue with her lawsuit, but now it seems like more is riding on the outcome than just a few millions of dollars.

]]>http://www.inquisitr.com/1959092/ellen-pao-sexism-lawsuit-closes-heres-why-some-women-fear-the-outcome/feed/1Willie Nelson’s Weed Sales Face The ‘War On Drugs’ Threat Of The IRS’ Marijuana Business Tax Codehttp://www.inquisitr.com/1959009/willie-nelsos-weed-sales-war-on-drugs-irs-marijuana-business-tax-code/
http://www.inquisitr.com/1959009/willie-nelsos-weed-sales-war-on-drugs-irs-marijuana-business-tax-code/#commentsFri, 27 Mar 2015 03:38:02 +0000http://www.inquisitr.com/?p=1959009Marijuana business is soon to become big business to rival big tobacco, and Willie Nelson’s weed company hopes to make a big dent in the market with Willie’s Reserve. But could the IRS attempt to gobble up most of that money? In a related report by the Inquisitr, the effects of weed brownies put some

Marijuana business is soon to become big business to rival big tobacco, and Willie Nelson’s weed company hopes to make a big dent in the market with Willie’s Reserve. But could the IRS attempt to gobble up most of that money?

In a related report by the Inquisitr, the effects of weed brownies put some teens in the hospital, and the high school salesman ended up in jail for selling pot brownies. Some try and claim that recreational marijuana is more dangerous than alcohol, but statistics deny legal weed critics.

By 2016, Colorado’s marijuana sales hopes to break the $1 billion mark, and that is just one state. If marijuana legalization continues to sweep the United States, it is possible Willie Nelson’s weed sales will be a large part of the projected $110 billion market, which will of course grow over time — like a weed.

“In the next calendar year that there will be movement,” said Willie’s Reserve spokesman Michael Bowman. “As you can imagine, it’s not a problem in states like Colorado, Washington, Alaska … There’s a pretty clear path on where retail can go.”

That’s right. Willie Nelson’s pot shops will literally be actual weed shops, and they plan on growing marijuana strains from many places.

“[T]here will be opportunities for other growers, who meet quality standards. Let’s just call it the anti-Walmart model. Personally, internally, that’s what we call it. A certain standard by which growers have to account for carbon and such, in a way that empowers small growers who are doing the right thing,” Bowman explained, according to the Daily Beast. “It will be like when you walk into a Whole Foods store. Whole Foods has their 365 brand, or you can buy Stony Brook, or you can buy Horizon … It’ll all fall under that umbrella of ‘here’s our core beliefs, and here’s our mission statement,’ and they will be a part of that, to be a part of us.”

Of course, Willie Nelson’s weed will have plenty of competition. Bob Marley’s weed brand called Marley Natural will be launched later in 2016. The federal government will also have to allow these marijuana business ventures to succeed. For example, Jordan Cornelius, a Denver accountant who works with Colorado marijuana shops, claims the federal government is using the IRS to extend the war on drugs.

“I believe that the feds extend the drug war through 280E,” said Cornelius. “If (the federal government) can’t put them out of business legally when voters are mandating these businesses to move forward, it’s very easy to put them out of business financially. A lot of times, instead of paying a tax rate that should be 30 to 40 [percent], they are paying rates between 80 or 90 percent. I even have a client right now that is paying more than 100 [percent] effective tax rate.”

Regardless, Willie Nelson’s pot business has a good chance of succeeding on just his name brand alone, but the questions remains if the government will make this money go up in smoke over the long term.

]]>http://www.inquisitr.com/1959009/willie-nelsos-weed-sales-war-on-drugs-irs-marijuana-business-tax-code/feed/0$17 Billion Spent On Expanding Panama Canal Will Give Passage To Monster Shipshttp://www.inquisitr.com/1958639/17-billion-on-expanding-panama-canal-will-open-up-new-trade-oppertunities/
http://www.inquisitr.com/1958639/17-billion-on-expanding-panama-canal-will-open-up-new-trade-oppertunities/#commentsFri, 27 Mar 2015 01:04:05 +0000http://www.inquisitr.com/?p=1958639The expanding Panama Canal is the world’s busiest maritime route, with the ability to handle some of the largest ships ever built. The current expansion project is entering the final stretch, and the Panama Canal Authority is already looking for another $17 billion for the next phase. The third set of locks, which scale over

The expanding Panama Canal is the world’s busiest maritime route, with the ability to handle some of the largest ships ever built. The current expansion project is entering the final stretch, and the Panama Canal Authority is already looking for another $17 billion for the next phase.

The third set of locks, which scale over twenty two stories, are scheduled for completion by April, 2016. The additional investment is for a fourth set of locks on the expanding Panama Canal that will allow the larger 20,000-container ships, ‘Post-Panamax,’ to navigate through the lock system and compete with Egypt’s Suez Canal.

“Looking at our geology and the experience we gained with this current expansion, we estimate it’s a project that could cost between $16 billion and $17 billion… adding it would allow Panama to compete head-to-head with Egypt’s Suez Canal,” said Jorge Quijano of the Panama Canal Authority.

The work is now on to prove the concept and justify the investment. Trade through the expanding Panama Canal has increased recently due to a labor dispute that was disrupting another route, the Trans Pacific, reported Simon Gardner and Elida Moreno of Reuters.

“It has had a positive impact for us, but the Suez Canal has been the big winner because they can handle the Post-Panamax ships,” Quijano said.

The report by Reuters goes on to say that if the Panama Canal Authority goes ahead with the project, Quijano says it could be completed within 15 years and that financing options include issuing bonds and using the Canal’s own revenues.

China Harbour Engineering Company Ltd (CHEC), a subsidiary of state-owned China Communications Construction Co Ltd, has voiced interest in building and financing a fourth set of locks in Panama, and Quijano said company officials met with him this week.

The proof-of-concept must show that the trade exists to fill these giant locks, with enough return to satisfy investors. Companies like the Maesk Line will be the lifeblood of the expanding Panama Canal, previously taking ships through the giant gateway upwards of 350 times a year. It is companies like Maesk that will determine the success of the project.

“The big question for any future expansion of the Panama Canal is will trade growth sustain that extra investment,” said Robbert Jan van Trooijen, Maersk Line’s CEO for Latin America and the Caribbean. “For me, to see any of those (mega) ships coming near Latin America, that’s the very distant future.”

The scale of these giant locks is beyond impressive, pushing engineering to its limit, with giant counterbalanced lock gates that allow the ships to gently cruise up and down huge steps in the landscape. The new plans include monster lock chambers that fill using gravity as opposed to the more traditional pumps.

]]>http://www.inquisitr.com/1958639/17-billion-on-expanding-panama-canal-will-open-up-new-trade-oppertunities/feed/0Michael Kors Reports Slow Store Sales, Says not to Worryhttp://www.inquisitr.com/1957987/michael-kors-reports-slow-store-sales-says-not-to-worry/
http://www.inquisitr.com/1957987/michael-kors-reports-slow-store-sales-says-not-to-worry/#commentsThu, 26 Mar 2015 19:23:15 +0000http://www.inquisitr.com/?p=1957987Michael Kors announced in their last earnings report on February 5 that their comparable store sales increase 8.6 percent during the quarter, showing stable decrease over the last year (previous three quarters were 16.4 percent, 24.2 percent and 26.2 percent from latest to earliest). However, Michael Kors management believe that it is not a sign

Michael Kors announced in their last earnings report on February 5 that their comparable store sales increase 8.6 percent during the quarter, showing stable decrease over the last year (previous three quarters were 16.4 percent, 24.2 percent and 26.2 percent from latest to earliest). However, Michael Kors management believe that it is not a sign of the company making mistakes, but rather that of general slowdown in the industry and natural changes in their business model.

According to Seeking Alpha, all of the company’s direct competitors showed more or less the same tendency.

“When looking at Michael Kors‘ peers within the industry, investors begin to see a trend. Luxury brands Coach (NYSE:COH), Ralph Lauren (NYSE:RL), Mulberry (OTC:MLBGF), Gucci, and Fossil (NASDAQ:FOSL) (some competing more directly than others) all reported comparable store sales that decreased or barely increased in their most recent earnings reports.”

In addition to that, the fact that store sales decrease doesn’t necessarily mean that the company makes less sales. Company’s CEO, John D. Idol, believes that the decrease in sales may be attributed not just to the slowdown in the industry, but to the fact that more and more of their customers drift towards more convenient Internet sales. Had they included ecommerce in the report, it would have been much more optimistic.

It’s hard to say whether this is objective information or the company’s management tries to put up a brave front; the brand has been reported as “out of fashion” for quite some time, and its stocks have been stably decreasing in price over the last year. However, leading financial institutions still express their belief in its future – for example, back in December the Inquisitr reported that Bank of America recommended the brand as a top pick.

“Michael Kors stock continued to drop during its 52-week low, weeks after the company announced its second quarter earnings report. The fashion brand reported that its store sales failed to meet analysts’ expectations. But that didn’t stop Bank of America from setting a $120.00 target price on shares of Michael Kors Holdings (NASDAQ:KORS) stock”.

Nevertheless, the company perceives its position as stable – after all, when taken as a whole it showed stable profit margin of about 17 percent for the last two years, without drastic falls or upswings, which means that whatever their stores sales are, Michael Kors in general seems to be unaffected by them.